Recent changes to federal student loan rules are raising concerns about the future of medical education and the availability of doctors in the U.S. Starting next July, new federal loan limits will make it harder for aspiring doctors to finance their training.
Here's what you need to know about these changes and their potential impact.
What's Actually Changing?
President Donald Trump signed a new law, the One Big Beautiful Bill Act, which includes a lifetime cap on federal student loans. Graduate students can now borrow up to $100,000, while those in professional programs like medical school will be limited to $200,000. Plus, the Grad PLUS Loan program — which used to let students borrow extra money beyond the usual limits — is being cut for new borrowers.
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Why Medical Students Are Worried
The median cost for medical school is already around $200,000, and at private institutions, it can reach close to $390,000, according to the Association of American Medical Colleges. Many current students rely on federal loans above the new caps to cover everything from tuition to living expenses.
Bobby Mukkamala, president of the American Medical Association, told CNBC last week this new limit is "a big-time punch in the face" for aspiring doctors. Students like Kylie Ruprecht, a third-year med student, say they're facing "crazy, crazy debt" just to get through school, and it can take years after graduation to pay it off.
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What This Means for Healthcare
There's real concern these limits could push some people — especially those from low-income families — out of medicine altogether.
Kristen Earle, program leader for student financial aid services at AAMC, told CNBC the new caps will result in "an additional financial barrier" for students and make the doctor shortage even worse. The U.S. could be short as many as 86,000 doctors by 2036, according to AAMC.
Rural areas might suffer the most since they already have trouble attracting doctors. If future physicians can't afford medical school or face big loan bills, they may avoid these communities.
What About Private Loans?
With federal loans capped, students might turn to private lenders to fill the gap. But private loans usually require good credit and often come with higher interest rates and fewer protections. That could make things harder for students who don't qualify for private loans, like those from less-advantaged backgrounds.
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What Schools Are Doing — and What Students Can Do
Medical schools are aware of the problem and are trying to help with scholarships and other financial aid. But it's not a perfect solution.
Jane Carreiro, dean of the College of Osteopathic Medicine at the University of New England, hopes private lenders will offer fair options.
"I think that the private sector is going to come through," she told US News. "But then we're going to have to really step into the role of helping applicants figure out where they can go to access money and funding from a place that's reliable, that's going to have fair terms."
If you're considering medical school, it's a good idea to:
- Learn about the new federal loan limits and how they might affect you.
- Look into scholarships, grants, and financial aid.
- Research private loan options carefully.
- Talk with your school's financial aid office or a financial advisor.
The rules around paying for medical school are changing. Being prepared can make a big difference in managing these new challenges as you plan your career.
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